Letters

Asset Allocation in Retirement

The analysis makes sense on paper, but there is one factor not mentioned at all in this article. Assuming the 20-to 30-year retirement mentioned, the retiree would be 85 to 95 years old. The amount of analysis and management of the stock portfolio suggested would be beyond the mental capability of most retirees of that age. Having lived in a retirement (ages 55 and older) community for over 18 years, I see that decline on a daily basis. In addition, passing on a stock portfolio of that magnitude to the widow could be problematic.

— G. Flowers from Arizona

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Discussion

Jim Compton from Texas posted over 2 years ago:

I published a book , by Authorhouse that addresses the issue of getting your finances in control, especially as a person starting in life. I believe that you have an excellent publication, as well as additional information, however it is focused at the investor with significant resources and misses the boat on how to begin your financial life. It is entitled, Bubba' s Financial Planner. You have to have a starting plan to accumulate resources to invest. I firmly believe that portion of investing is most often overlooked. It is available for a modest price of around ten dollars and is a quick read with some Franklinesque advice. Through the ideas in this publication I have saved some of my associates thousands of dollars. Most of which are really just common sense that seems to be lacking in today's society. I hope this inexpensive publication will help some investors to get their financial life in order. Money runs or ruins your life, and is the primary cause of divorce. Oblige, Jim Compton
(N.b.: successfully retired)

Mutual FundsThe Mutual Fund Cash DilemmaWhile most mutual fund managers are required to stay invested, some have the flexibility to raise their cash allocations, raising an allocation dilemma for shareholders.

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